Are You Saving for Emergencies?

Life throws curveballs. When faced with an emergency situation, many of us are reminded of the deficiencies and oversights that may exist in the perceived safety nets we’ve set up for our families. Are we as prepared as we could be for a major life disruption such as a job loss, a sudden health problem, an accident, or any other unexpected major expense? Here are some tips to help quickly build up an emergency fund:

Reduce your expenses.

Use a budget to figure out where your money is going and reduce your expenses wherever you can. Move the leftover money you save into a separate savings account that you do not touch. Cut unlimited data plans, pricey gym memberships, subscription accounts, and other recurring monthly payouts that aren’t necessary expenses. Once you’ve reached the adequate amount of savings for your household, you can reenroll for the luxuries you cut out of your budget if you can afford them.

Sell items online.

Electronics, vintage items, antique furniture, handmade arts and crafts. There is a marketplace for everything online. If you’re not using it, and if it doesn’t have sentimental value to you, consider selling it and banking the money you get for it in your emergency account. There are plenty of ways to sell items for free online without having to leave your house.

Save all monetary surprises.

If you receive a bonus at work, an overpayment check from your insurance company, or a check from your great- grandmother, put it in your emergency account and don’t think twice about it. Twenty dollars here and $50 there can really add up over time.

Make more money.

Do you have a particular hobby, trade or skill that you could put to use for a side gig? Starting a side hustle is a great way to produce a second income stream and boost your emergency savings. There are many side gigs that you can get started and trained in online or in the comfort of your own home, on your own time.